Namibian company wants Kopore stripped of four copper licences
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Junior explorer Kopore Metals is facing a legal challenge to four copper prospecting licences it was recently granted in Namibia.
The news sent shares down nearly 12 per cent on Wednesday morning to an intra-day low of 1.5c.
An application has been made to the High Court of Namibia by Hebron Prospecting, a company incorporated in the republic of Namibia, Kopore (ASX:KMT) told investors.
Hebron alleges that in August last year — prior to Kopore’s applications being submitted, assessed and granted — that it submitted applications to the Namibian Ministry of Mines and Energy for four prospecting licences that overlapped four licences that were subsequently granted to Kopore.
Hebron wants the court to reverse Mines and Energy Minister Tom Alweendo’s decision to reject its applications, according to Kopore.
Kopore says it plans to lodge a “notice of opposition” to the legal challenge.
Managing director Grant Ferguson told Stockhead that Kopore had done everything by the book in terms of applying for the licences.
“We’ve done everything that is mandated under the special conditions of licence granting,” he explained. “We’ve engaged the community, we’ve started already spending money.
Mr Ferguson said that when Kopore applied for the licences, the company believed they were open and there were no other competing applications.
“When we applied, our understanding was it was open or else we wouldn’t have been able to apply for it,” he said.
“The previous company had received a rejection of their applications and we had applied afterwards and been granted these licences. They’re just appealing the rejection. They’re not appealing our application per se.”
Mr Ferguson said Kopore is evaluating its position with its legal representatives in Namibia.
“We’re hoping to get clarity today on it all, but the fact of the matter is that we’ve legally been granted these licences,” he said.